Standard&Poor's Ratings Services' ratings on Ares Capital Corp. (Ares) reflect the company's good market position, which includes its total investments of $6.0 billion across 156 portfolio companies as of March 31, 2013, as well as $3.1 billion of committed capital that its Ivy Hill Asset Management L.P. (IHAM) portfolio company manages. Ares generates both interest and dividend income and fees from its investments in IHAM and the Senior Secured Loan Program (SSLP). Negative rating factors include the illiquid nature of its investments in private, middle-market companies, as well as the lower-than-peers' adjusted capital ratios as a result of recent growth in the firm's SSLP investment. Ares had 40% of its investment portfolio in first-lien senior debt and 20%
